LIGNITE RESERVES IN NEYVELI

Geological reserves of Lignite in the country have been estimated at around 34763 Million Tonnes. Of this, 3300 M.T. spread over 480 sq.km. is in the Neyveli Lignite fields in Cuddalore District of which around 2100 M.T. have been proved. Geological reserves of about 1168 M.T. of lignite have been identified in Jayamkondacholapuram of Trichy District of Tamilnadu. In Mannargudi and East of Veeranam, geological reserves of around 22893 M.T. and 1491 MT of lignite have been estimated respectively. Presently operating in two mechanized opencast mines with a capacity of 6.4 million tonnes and 9 million tonnes of lig-nite per annum. The prospected lignite reserve in  the Neyveli region is about 80% of the total reserve (approximately 15 835 million tonnes) in India. Lignite deposits distributed in the Neyveli, Jayamkondam, and Bahour areas. These reserves are the only fossil fuels in the southern region of India, which can be mined industrially to meet the existing energy demands. In view of the rapid increasing demand for electrical energy and the vast reserves of lignite available in the re-gion, NLC has intended to carry out a massive expansion programme of mining and power generation activities. These developmental ac-tivities would involve production of about 41 million tonnes of lignite per annum and a power generation capacity of about 6140 MW by AD 2020.

Proposals to expand the first mine from 6.5 to 10.5 million tonnes and to expand First Thermal Power Station from 600 MW 1020 as also expansion of Second Thermal Power Station from 1470 MW 1680 MW are under the active consideration of Government.

Feasibility report for opening a Third Mine of 11 million tonnes capacity to feed a Third Thermal Power Station of 1500 MW (3 x 500) capacity have been submitted to Government. Further exploration work carried out in the Neyveli Belt have revealed that there is potential to open three more mines and connected power stations. Exploratory drilling work is continued to identify additional potential area for Lignite Mining.